Bank of Jamaica (BOJ) Governor, Richard Byles, has announced plans to implement a new foreign exchange trading platform in 2020.
Byles explained that the new platform will enable foreign exchange traders, both buyers, and sellers, to see all of the bids on daily offers, noting that it is designed to create “a lot more transparency in the market”.
Barita Investments Limited (BIL) has advised that BIL has acquired a five percent (5%) stake in Proven Investments Limited valued at 9,864,233.39 effective November 25, 2019
Downward rating pressures will persist in 2020 for Latin American sovereigns, Fitch Ratings says, with seven of 19 on Negative Outlook compared with five (plus one on Rating Watch Negative) at end-2018.
Despite our expectations for a mild economic recovery (from a low base) for the region as a whole, fiscal, political and governability risks will continue to challenge economic and rating outlooks.
Latin America includes the highest number of Negative Sovereign Outlooks among the world's regions. It has been challenged by persistent lackluster growth over recent years and risks to the downside are likely to persist into 2020.
External challenges remain significant. The slowdown in the global economy will restrain the modest recovery forecast next year while several Latin American economies will be exposed in the event of a further escalation of the US-China trade dispute. Notably, previously faster-growing economies, such as Chile and Peru, have also been slowing. Latin America is forecast to remain the weakest-growing emerging market region in 2020.
Chinese and U.S. top trade negotiators held another phone call this morning Beijing time in which consensus was reached on properly resolving issues holding up the phase-one trade deal, according to a Chinese Ministry of Commerce statement.
Should they fail to reach an agreement by Dec. 15, President Donald Trump will have to decide whether to carry out his threat of further tariffs on the Asian nation.
Market reaction to the statement has been muted, with Rabobank strategists including Richard McGuire writing that markets now view positive announcements with “healthy skepticism given how long this has dragged out.”
Federal Reserve Chairman Jerome Powell signaled interest rates would probably remain on hold, saying that he sees “the glass as much more than half full.”
He restated his well-worn caveat that interest rates are not on a preset course, and the Fed would adjust if there were a “material” change to its outlook.
Investors and economists meanwhile are touting a further steepening of the yield curve in their hot 2020 trades for Wall Street.
The Ministry of Tourism will be spending $66 million over the next three years to strengthen and expand Health and Wellness Tourism in Jamaica.
Portfolio Minister, Hon. Edmund Bartlett, in making the announcement, said that health and wellness tourism is a growing market internationally and Jamaica is uniquely poised to capitalize on the industry.
He said research has shown that health tourism represents one of the fastest-growing travel segments, with a 12 percent expansion each year, and Jamaica has much to contribute to all facets of that sector. He also noted that policies and strategies are being developed through the Tourism Linkages Network to enhance Jamaica’s health and wellness products.
Minister Bartlett was speaking at the inaugural Jamaica Health and Wellness Tourism Conference at the Montego Bay Convention Centre on Wednesday.
Net remittance inflows for the period January to August of US$1,407.5Mn increased by 1.4 percent or US$19.8Mn relative to the previous corresponding period.
The increase reflected an increase of 2.3 percent or US$35.6Mn in remittance inflows partially offset by an increase of 9.8 percent or US$15.9Mn in outflows. The increase in inflows was mainly attributable to an increase of 15.9 percent in Other Remittances while Remittance Companies remained relatively flat.
The largest source market of remittances to Jamaica in August 2019 remained the USA, whose share increased to 64.9 percent, from 63.7 percent recorded August 2018. The remaining share of remittances for August 2019 came from Canada at 12.5 percent, followed by the UK and the Cayman Islands at 10.4 percent and 6.7 percent, respectively.
Overall, the January to August 2019 period had remittance inflows totaling US$1585.4Mn.
The country’s deficit for the fiscal year has ballooned to $677.5Mn because of Hurricane Dorian, prompting the government’s plans to borrow $507.9Mn to meet the shortfall.
Deputy Prime Minister and Minister of Finance Peter Turnquest said in the house of assembly yesterday that he will table resolutions for the borrowing in two weeks along with a supplementary budget to address expenditures and revenue losses associated with Dorian’s passage.
The government initially projected a deficit increase of $430Mn.
In his first comments on a partial trade deal with the U.S., President Xi Jinping said Beijing wanted to work toward a phase-one agreement on the “basis of mutual respect and equality.”
Xi added that though his nation neither initiated nor coveted a trade war, China would fight back when necessary.
Vice Premier Liu He, the country’s top trade negotiator wrote a lengthy op-ed in the Communist Party’s flagship People’s Daily highlighting the key role for the market and non-state players-- perhaps an attempt to address one of America’s long-standing criticisms of the country’s economic model.
While there was some sign of improvement in Germany’s ravaged manufacturing sector, this morning’s purchasing managers data for the euro area pointed to continued stagnation in the region’s economy.
French manufacturing was one highlight, rising to 51.6 for the month, ahead of all estimates in a Bloomberg survey.
There were no bright spots in a dismal report for the U.K. that showed the economy’s performance was the worst since July 2016with manufacturing and services PMI both coming in below 50 and below expectations.
